Silicon Beach is the Westside region of the Los Angeles metropolitan area that is home to over 500 technology startup companies, with emphasis on the coastal strip north of LAX to Santa Monica Mountains, but the term may be applied loosely or colloquially to refer to most anywhere in the LA Basin. Major technology companies have opened offices in the region including Google, Yahoo!, YouTube, BuzzFeed, Facebook, Salesforce, AOL, Electronic Arts, Sony, EdgeCast Networks, MySpace, Amazon.com, Apple, Inc., and Netflix. Additionally, several mobile ventures seeded here like Snapchat and Tinder. In 2012, the region was considered the second or third most prominent technology hub in the world, according to some metrics.
The influx of technology companies has had major impacts on the type and availability of office space and on home prices in Playa Vista, Playa Del Rey, Westchester, Santa Monica, and Venice, already high previously due to beachfront location, has exacerbated the situation and the region suffers from many of the same high cost issues that led companies to flee the San Francisco Bay Area. The effects are also spilling over into Marina del Rey, and Hermosa Beach and continues to attract technology firms, venture capital, and startups.
Start-up pockets have also emerged in nearby Culver City, West L.A., and El Segundo. Other pockets include Downtown Los Angeles, Beverly Hills, Hollywood, and the San Fernando Valley, which were pricey areas even before the influx. The tendency of companies to congregate in these centrally-located, high income areas has raised concerns about the feasibility of racial minorities joining the workforce, as they tend to live in further outlying areas.
In 1983, PC Magazine reported that "some people are starting to call" Boca Raton, Florida—where IBM had developed its Personal Computer, and other technology companies had facilities—"Silicon Beach, in deference to the great valley of the West". In 1984 Silicon Beach Software was formed in San Diego, California. Silicon Beach Australia was used to describe that country's internet technology community in 2008. There are four significant areas in Australia that are nurturing start-ups: Sydney, Melbourne, Brisbane, and Perth.
Silicon Beach is also home to a number of start-up incubators and accelerators, such as Amplify.LA, Science, Disney Accelerator, and TechStars Cedars Sinai. Higher education institutions headquartered in Silicon Beach include Loyola Marymount University and Otis College of Art and Design. Other higher education institutions in the nearby Southern California region or with satellite campuses in/nearby Silicon Beach include: Art Center College of Design, California Institute of Technology, University of California Los Angeles, University of Southern California, and the Claremont Colleges. In the first six months of 2013, start-ups in Silicon Beach raised over $500 million in funding, and there were 94 new start-ups and nine acquisitions.
List of technology companies based in Silicon Beach
|AdColony||2011||Adtech||Acquired by Opera for $350 million|
|Age of Learning||2007||Education|
|Bitium||2012||Cloud Computing||Acquired by Google for an unknown amount|
|Branded Online||2010||Ecommerce & Online Marketing Agency|
|Distillery||2008||Mobile Application Development, UX/UI|
|Dollar Shave Club||2011||Consumer packaged goods||Acquired by Unilever for $1 billion|
|Falcon Computing Solutions||2014||High Performance Computing, FPGA acceleration - tools and solutions|
|GOAT||2015||e-commerce, Fashion (sneakers)|
|Guthy-Renker||1988||Direct Response Marketing|
|The Honest Company||2012||e-commerce|
|Honey||2012||Cashback website, online coupons||Acquired by Paypal in 2020 for $4 billion|
|Hulu||2007||Television Streaming Services||$100 million|
|MatchCraft||1998||Digital Marketing Platform Technology & Services|
|MuteSix||2014||Performance Marketing Agency|
|Nasty Gal||2006||Retail||Unknown - Chapter 11|
|Oculus VR||2012||Virtual reality||Acquired by Facebook, Inc. in 2014 for $2 billion|
|Onestop Internet||2004||Full Service Ecommerce Agency|
|Ring||2012||Home Security Devices||Acquired by Amazon for $1 billion|
|Riot Games||2006||Video Games|
|Science 37||2014||Medical technology|
|Snap Inc.||2011||Social media||$23 billion|
|Swagbucks / Prodege, LLC||2007||Digital Rewards & Cash Back|
|TigerText||2010||Messaging, Text Analytics, Communications Infrastructure||$625 million|
|TrueCar||2005||Automotive websites||$1.65 billion|
|Virgin Hyperloop One||2014||Transportation|
|Wpromote||2001||Digital Marketing Agency|
|.xyz||2014||Internet Domain Registry|
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- "These Young Founders Give Cannabis Brands The Opportunity To Market Directly To Consumers". Forbes. 2018-09-27. Retrieved 2020-02-28.